Incidents of payments fraud are escalating at an alarming rate as fraudsters – both internal and external - continue to outpace technology developers and law enforcement in their level of sophistication. According to AFP’s 2015 Payments Fraud and Control Survey, 62% of finance professionals report that their organizations were targets of payment fraud in 2014, and of those 77% were victims of check fraud. Checks are by far the most targeted payment method, followed by credit/debit cards, wire transfers, and ACH debits/credits.
One of the major problems is that fraudsters can be anyone, anywhere. While those committing check fraud might be after your organization’s funds, cybercriminals are more interested in stealing sensitive data, including emails, account numbers, credit and debit card numbers, and even the personal information needed to steal identities. Attention to the internal procedures and systems in the payment processes is vital. No type of fraud can be ignored.
AFP has released “Payback: Securing Your Payment Channels”, designed to help treasury and finance professionals identify any weak payment channels or routines. It offers practical and preventive measures to improve payments security and protect your organization against fraud, along with guidelines in case fraudulent activity does occur.